Lines of credit for micro-tourist businesses allow for €750 per month per worker

Público has just released new data on support during the pandemic for microbusinesses in the tourism sector.

Says the paper, the €60 million line of credit will allow for each worker to receive €750 for three months.

The money will be available for all businesses up to a maximum ceiling of €20,000 per business.

The value was calculated on the basis of nine workers to each firm – the maximum that can be on the payroll for a company to be considered a ‘micro-business’.

The credit line also takes into account for businesspeople who operate under the ‘nome individual’ regime.

The word to watch is ‘credit’. These is not free money. But it is extendable free of any form of interest payments, and can be repaid over a period of three years.

Candidates to this line of credit should contract Turismo de Portugal, says Público.

This is the first line dedicated to tourism to come into effect in the context of ‘answers to the Covid-19 outbreak and its economic impacts”, says Público.

AHRESP, the national association of hoteliers and restaurateurs, has “welcomed the measure” saying it translates into a ‘real support’ for these exceptionally hard-hit businesses.

The sector meantime has three further lines of credit that will come ‘online’ shortly, but aren’t quite ready yet.

These refer to activities in the sector like ‘alojamento local’ (holiday rentals), events businesses and tourist agencies.

There will also be a fourth line of credit dedicated to support industry.

The Resident will be reporting on the details of all of them as they start ‘coming through’.~

As Público released the latest details on credit available, European Commissioner Ursula Von der Leyen created the extraordinary precedent of suspending the EU’s rules on budgetary discipline. Tweeting: “We promised we’ll do everything to support Europeans and companies through the crisis”, Ms von der Leyen said the move, after yesterday’s putting into place of the most flexible ever State aid rules to help people and companies, effectively relaxes rules to the point that governments can “pump into the economy as much as they need”.

Uploading a video of herself in front of European flags, Ms von der Leyen said: “Last week we said we would do whatever is necessary, today I am happy to say we have delivered”.

With this massive release of habitual pressure from Brussels moneymen, Portugal’s government will be addressing the nation again this evening to outline further measures of social and economic support.

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